Amgen and Watson Pharmaceuticals have entered into a agreement to collaborate on the development of biosimilar cancer drugs.
As part of the non-exclusive deal, Watson Pharmaceuticals will put up $400 million for the co-development efforts, while Amgen will be responsible for development, manufacturing, and initial commercialization of the oncology drugs developed with Watson. The partnership is so far considered to be a victory for both parties involved. In Watson Pharmaceuticals’ case, it finally has a strong partner through which to launch its efforts to enter the growing biosimilars market. And in Amgen’s case, it demonstrates to investors that their company is more than prepared to engage with competitors in the biosimilars market.